LETTER: Broaden PIC investments
Legislation should be amended to enable more investments in unlisted portfolios by the PIC and other fund managers
The Public Investment Corporation (PIC) has been under severe scrutiny. This should be attributed to the fact that it holds enormous assets on behalf of state pensioners. The manner in which these assets are invested is crucial for South African socioeconomic development and the creation and distribution of new wealth. The PIC has recently advertised a request for proposals for fund allocations to unlisted investments. These include South African real estate funds, project development partnership funds and South African impact investment funds. The legislation should be amended to enable more investments in unlisted portfolios by the PIC and other fund managers. Regulation 28 of the Pension Funds Act may be the most critical item of regulatory intervention in capital allocation in our economy, and the bluntest. The act is intended to control pension funds by stipulating maximum investable levels per asset class. Currently only 15% is allowed in alternative investments, the very asse...
Would you like to comment on this article?
Sign up (it's quick and free) or sign in now.
Please read our Comment Policy before commenting.
Subscribe now to unlock this article.
Support BusinessLIVE’s award-winning journalism for R129 per month (digital access only).
There’s never been a more important time to support independent journalism in SA. Our subscription packages now offer an ad-free experience for readers.
Cancel anytime.
Questions? Email helpdesk@businesslive.co.za or call 0860 52 52 00. Got a subscription voucher? Redeem it now.